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HomeMy WebLinkAboutFY 2010-2011 Huntington Beach Auto Dealers Business Improvem Council/Agency Meeting Held Deferred/Continued to *Ap o��d Con ti n Ily p r v d Denied C/o Clerl�s Signatii e Council Meeting Date September 20, 2010 Department ID Number ED 10-039 CITY OF HUNTINGTON REACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A Wilson, City Administrator PREPARED BY: Stanley Smalewitz, Director of Economic Development SUBJECT: Public hearing to consider the adoption of Resolution No 2010-64 approving an annual assessment within the Huntington Beach Auto Dealers Business Improvement District (BID)for Fiscal Year 2010- 2011 Statement of Issue: On August 16, 2010, City Council approved the Resolution of Intention No. 2010-59 to levy an assessment for the Huntington Beach Auto Dealers Association Business Improvement District and authorized the City Clerk to schedule a public hearing City Council will conduct a public hearing to consider a resolution to approve the annual assessment for Fiscal Year 2010/11 Financial Impact: Revenues and expenses will be included in the 2010/11 Huntington Beach Auto Dealers Association Business Improvement District Budget C70180101 Recommended Action: Motion to A) Conduct the Public Hearing, and, B) Adopt City Council Resolution No 2010-64, "A Resolution of the City Council of the City of Huntington Beach Approving an Annual Assessment within the Huntington Beach Auto Dealers Association Business Improvement District for Fiscal Year 2010-2011 " Alternative Action(s): 1 Deny the request to approve the Resolution, or 2 Modify elements of the Annual Report, such as the proposed assessments, activities, or improvements to be funded -787- u REQUEST FOR COUNCIL ACTION MEETING DATE: 9/20/2010 DEPARTMENT ID NUMBER: ED 10-39 Analysis: At the request of the Huntington Beach Auto Dealers Association, the City Council formed the Auto Dealers Association Business Improvement District (BID) in 1992 to fund the Dealers' obligation to operate and maintain the electronic reader board sign located adjacent to the 405-freeway and to fund other promotional activities that benefit the Auto Dealers The Auto Dealers Association BID Board of Directors approved the assessment formula at their June 16, 2010, meeting Each member of the BID will be assessed $1,445 As set forth in the BID's Annual Report and Budget, the BID will utilize the assessments for promotional activities, reader board sign maintenance, car store, and related administrative items In order for the City to levy the BID assessment each fiscal year, the City Council must conduct a public hearing before adopting a Resolution, confirming the coming year's assessments On August 16, 2010, City Council adopted Resolution No 2010-59, affirming its intent to approve the proposed assessments for FY 2010-2011 and setting the public hearing for September 20, 2010, to approve the assessments As required by the Streets and Highways Code Section 36500 et seq , copies of the Resolution of Intention were mailed to each of the eleven businesses to be assessed A Notice of Public Hearing and copy of the Resolution were published in the Huntington Beach Independent on August 26, 2010 During the public hearing, the City Council will hear all interested persons for or against levying the assessment Protests may be made verbally or in writing, however, written protests must be filed with the City Clerk at, or before, the time set for this hearing and contain sufficient documentation to verify business ownership and validate the particular protest If written protests are received from the owners of businesses in the proposed area that will pay 50% or more of the assessments, no further proceedings to approve the assessment can be taken for a period of one year Upon the approval of the Resolution, the new assessment formula will become effective as of October 1, 2010 The Auto Dealers Association BID anticipates assessments of $172,800 for FY 2010-2011 Combined with reserves of $21,000, the BID Board of Directors has proposed a total budget of $193,800 for FY 2010-2011 The FY 2010-2011 assessment will become effective as of October 1, 2010, upon approval of the Resolution Environmental Status: Not applicable Strategic Plan Goal: Enhance Economic Development -788- REQUEST FOR COUNCIL ACTION MEETING DATE: 9/20/2010 DEPARTMENT ID NUMBER: ED 10-39 Attachment(s): a ® - Option 1. Resolution No. 2010-64, "A Resolution of the City Council of the City of Huntington Beach Approving an Annual Assessment within the Huntington Beach Auto Dealers Association Business Improvement District for Fiscal Year 2010-2011" 2. Resolution No 2010-59, approved on August 16, 2010, "A Resolution of the City Council of the City of Huntington Beach Declaring the City's Intention to Levy an Annual Assessment within the Huntington Beach Auto Dealers Association Business Improvement District for Fiscal Year 2010-2011" 3. PowerPoint Presentation -789- ATTACHMENT # 1 RESOLUTION NO. 2010-64 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH APPROVING AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2010-2011 WHEREAS, the Parking and Business Improvement Area Law of 1989, codified at Streets and Highways Code § 36500 et seq. (the "Act") authorizes cities to establish parking and business improvement areas for the purpose of imposing benefit assessments on businesses for certain purposes, and The City Council has formed a business improvement area, the Huntington Beach Auto Dealers Association Improvement District (the "Distnct"), by the passage of Ordinance 3175 on September 8, 1992. The City is proposing to levy an assessment for fiscal year 2010-2011 pursuant to the process detailed in Streets and Highways Code §36500, et seq , and The District's Advisory Board has prepared and filed with the City Clerk a report for Fiscal Year 2009-2010, ("Annual Report") which sets forth the amount and basis of levying the assessment for Fiscal Year 2010-2011 On August 16, 2010 , the City Council adopted a resolution declaring its intention to levy an annual assessment for Fiscal Year 2010-2011 as proposed in the District's Annual Report NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby resolve, determine and find as follows SECTION 1 The City Council hereby approves and adopts the Annual Report filed by the Advisory Board in the City Clerk's office attached hereto as Exhibit A and incorporated herein by this reference, which report includes a proposed budget for Fiscal Year 2010-2011 and a description of the improvements and activities to be provided for Fiscal Year 2010-2011 SECTION 2. The City Council of the City of Huntington Beach hereby authorizes a levy and collection of assessments within the District for fiscal year 2010-2011 as proposed in the Annual Report. The levy is to apply to small businesses classified by the City of Huntington Beach License Code as Class A Retail Sales, (A1) Auto, New, Used, Parts, including new business of that classification located within the District in the amount of One Thousand Four Hundred Forty-Four Dollars ($1,440 00) per month as set forth on Exhibit B, and incorporated herein by reference. SECTION 3 The assessments collected shall be used to cover costs to operate, upgrade and maintain an electronic reader board located within the City of Huntington Beach west of the intersection of Beach Boulevard and Center Avenue and other promotional and advertising activities. 09-2124 001/49061 1 Resolution No. 2010-64 SECTION 4. This resolution shall take effect on October 1, 2010 PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 20th day of September , 2010. M or REVIE D APPROVED. INITIATED AND APPROVED: 'CifAdministrator Director of Econo is Development APPROVED AS TO FORM: �— City Attorney pyj V 09-2124 001/49061 2 Resolution No 2010-64 Exhibit A- Annual or Rept Resolution No 2010-64 { . GhrYsler� Dodge • ord Hontla . pro e d r. J, aztla • • •Mitsub'ishi Nrssan. Resolution No 2010-64 INTRODUCTION The Huntington Beach Auto Dealers Association (Association) was formed on August 15, 1990 out of the desire to bring New Car Dealers on Beach Blvd together to loin forces, develop F cooperative community and marketing plans and better serve their industry and the City of Huntington Beach Subsequently, N . . it ,_r on September 8, 1992 the Huntington Beach City Council approved Ordinance No. 3175 establishing The Huntington 3e c' AL,,o Dealers Business impiovenn-an' District iBID) as a rleThod of financing and maintaining their then,state-of-the-art + " D,gl*al Reader Board Sign (Sign) This year, 2010 marks the 20Th anniversary of the Associaton 1,Liy -a start of something big, the Association, BID rnd S-gn, -epresent a series of actions that have 'helped protect a iiean;ngrul cash-Flow to The CITY in terms of significant sales tax genie,(won, and of course, represenrs the- oinding force among r X =r / the no,, 1 1 New Car Dealers dotting the landscape of Beach Blvd ,Surf City,Huntington Beach,Collfoi nia These components have worked together to insure all parties continuity of message and a unified organization to work within i dill g ). i o Resolution No 2010-64 OF THE HUNTINGTON BEACH AUTO DEALERS ASSOCIATION MISSION STATEMENT e u ti t r i- { c --it d The H n ng7on Beacn Auto Dealers Association c e_,i..., e b FY;I serving theu New Car Dealer Members They strive to prornote their collective business success, providing an effective marketing message, assisting Kith common issues to provide me -orv-vary w ` they serve with a variety of meaningful programs the A,socaatlon works to protect and expand them business sego;ent n ordei io be ; ,x able to provide leadership and focus so that both the rne,rbers they sei ve and our community remain healthy and prosperousM"� o.. •o :x Resolution No. 2010-64 A NOSTALGIC PAST Mustangs, Corvettes, Chargers, Continentals, Lincoln, Malibu, Thunderbird, Hummers, Plymouth, Honda and Toyota dotted the early Beach Blvd landscape Names like CalWorthington,Groth,Terry York,Gustafson,Bill Maxey took the Blvd, through much of its growth during the 1960's, 70's and '80's. for Example, DeLillo Chevrolet has been family owned and operated since 1960; similarly H8 Chrysler / Jeep has been family owned and operated since 196b They are local people serving local people from the same locations in Huntingtoo Beach for well over 40 Years Ouala+ Today I'se Hunhnyton d act Auto Dealers Association, their Beach Blvd of Cars a"c'nG --inc' St.^. '7i R£Il, T:?,-'C7 J'�lOppin rY'Cr1l i5 i N_' _ � _ ... : � �,+y b,�`'� .+� C ., _ _ ,.,. _ _� i,� CO1OC'Cites pC!`Tne in the form of 'Pros cnd 'rneir na, K'-' fro'e a• ine fo,'-n9' CaTuin location With the receni reno�,GT On -)f the ckglta, '',eacie, Bard Sign,the :,)rnplete -a-build of The Toyota of Huntington BeC;ci-, fran':nise, the `ignilicarit expansion of t};e Norm Ree/e� Honda Supe, Store location onci the recent re-bui(cl of the OC Mc'zdci 1H6,v,azdC)ST':re the_ontnnuir'g confidence in th= c utonionve inc!ustr`J by our memoe-s has been a bright star for the Associc,moo iek C+S the c--mrnWnty dTi ",)its of c i e:e rii c'v ,1tLfn in the economy In addition, i ),cl Deci=, , ,1, ��2n '3'cc dCi, Ct. i og%ir C7U;} rucle Sales, 1j3 MITSub,N is rile,,ll"nber clecler in 'Ile US,DeL'I!c t he"%t p) t :,as tcippecl by Llhr\to conilnue and expand rhei, franchise Ch ysier and Dodge a,a family owned 'businesses that are run hands-on and bottom line Our Nissan Store is now pait of a huge conglomerare — automeT've group out o$ Solt _ake Ciry rind operares cis a cop score in thrll chain Toyota of Huntington Beach, part of the Wilson Automoti,,e Group recently spent over $20 million to re-state their commitment to oui community We are, Eleven New Cat dealers OCT+nCj c,s a;e — men it rotnas ro rnarketing, community and investmenl Resolution No. 2010-64 "mot o c .00 o READER BOARD SIGN The center, heart and soul of The Huntington Beach Auto Dealers Association and their Beach Blvd of Cars Store, (through their management of The Huntington Beach Auto Dealers Business Improvement District)is their Digital Reader Board Sign The one single business decision made by the `Association" that has had and will continue to have the largest and most positive impact on their ability to accomplish their Mission Statement is:The Reader Board Sign and its power to touch several hundred thousand people per day along the infamous 405, San Diego Freeway in both directions Protecting that asset,maintaining it at the highest standards,allowing the Sign to grow and mature in these challenging times is crucial to the continued cash-flow to the city. The resulting sales tax and the on-going business of the Dealer Members is a - direct result of their Reader Board effort. The Sign currently operates between the nours of 5 a rn and Midnight c ciclliy, IS cjovefil?rl by CUI11".^Ins` StrIC'l- pal,ctes CInCI Orly OIJerCIt2S +Oday �'*;<„t�,r'_:'�,�,'�Y ,• '' beccl+_s<^. 3f G ,-'ry long, proy,actec' bu•aau.r-,Tic pr;ces, that the Ctty f '�'^`�` -x r and the Association engaged in over the past three dears - concluding r favorably This year The Sign had been out of compitance with changed policies cif C.alTrans for several years, issues originally unknown to the iu Dealers resulting from CalTrans radically changing permit conditions Il When the Dealers vere finally able to iderinry rhose issues - they were g, able to comply ,.,,th them early in 2010 These `Signs" are also the bread and but-,r o+ all tine Auto Malls that s� dot Southern Cc,4fornia They sit at The:enre, of Ecoromic Developmentprograms for hundreds of Dealers and dozens oft tort)nun,ties throughout the Region Reader Board Signs continue To e•.oive n size, shape and technology For example, the following rendering represents the state of the art Digital Reader Board Sign design that would protect our mutual asset over the next ten years and is only offered as a concept As f Managers of a huge responsibility to our members and the community we are continually evaluating till aspects of our mutual business goals from technology, innovation, marketing and advertising perspectives " This is one such effort enraoec>u, ' 3tmeat Bei)a Tara anowr�e-. ,r 1 v ea rnsu CG HJ'III t I ;III GG'^ r Ski © ?y Continuing the stor`:y of Caftrans, the Reader Board Sign and F �"`'� ever-changing reguEations; the Association agreed to'open Aa,gym 'z nn yes 70 }_ "retail' presence rii and about the Eocafiion of. their ;Sign At 77 significant expense(details rn fnancia report),.th' Associahon now memplays two full time representatives with payroif workersr (� ISf( y Ei TW 'u corrip, insurance considerations, site.signgge, equiprrtent,�etc.3 aE Aua%,ia uacA`3° Labor rent and office operation represen#s almost 40% of the �FIs TEi3'sL SE>Cta6ZY6f��G� � totafe BID Annual Budget The Assacogtion negotiated with.$e{la Terra Mal! ownership the woof thY. eir then vacant Concierge Qesk located Ott their Amphitheater :by the.:Century Theatres The Blvd of Cars Store plays c duaE role,is in'fact tlZe host for the IiAall attending to scores of daily customer i%isotors (oolong for ever'ythong from the nearest bathroom to',specife rndwidual tenant store locations ;The core ro{e'of Blvd';of Cars Store & Information Center rs to propagate orterest in transportatoon products offered by the Member 5 DeaEers The Fatter includes electronoc hook up`to each dealer memE?er through the Internet aril web sites to.:'dealing with any walk up client issue Literature for ear"h Dealer is 9n.display, telephone lines exist for 'm � instant access to individual Edealers for any client questions or, neec{s, Shuttle Service �ELt TE R provided by each dec�Eer to and from Be{la Terra Arr made to test drsve ^r vehicles ;:Certain Memf,er dealers ;provide r rental car service, etc 1� s Blvd of Cars S operation tore hours e ar , �1 r^ Wednesday through Sunday .Noon to 8 pm: Phone (714)Q2:527.7 t Email BlvcfofCarsS`tore aol coin Resolution No. 2010-64 CU RRENT DEALER MEMBERS The Huntington Beach Auto Dealers Association acting as Managers of The Huntington Beach Auto Dealers Business Improvement District include: HB Dodge HB Mazda HB Ford 714-847-5515 714-848-7739 714-842-6611 www.hbdodge.com www.ocmazda.com www.hunfingtonbeachford.com HS Chrysler Jeep Surf City Nissan of HB McKenna VW HB 714-841-3999 714-500-6000 866-925-0602 www.hbchrysterieep.com www.surfcitynissan.com www.mckennavoikswagen.com HB Mitsubishi DeLillo Chevrolet Toyota of HB 888-780-9895 714-847-6087 714-847-8555 www.hbmitsu.com www delillo.com www.toyataofhb.com Kia of HB Norm Reeves Honda Superstore TBD 714-842-5431 www.normreeveshuntingtonbeach.com The certified Executive Committee of the board of Directors of the Association also sit as the BID Board Members and they are Bob Miller,(Toyota of Huntington Beach) acts as President Paul Conant,(Norm Reeves Honda Super Store) acts as Vice President Bill Demarest,(DeUllo Chevrolet) act as CFO The Huntington Beach Auto Dealers Business ncr - r. h r^ rr! Wednesday of each cluartei at Toyota of H--.nv,iatc,n 6eacl - "?B? B-a „ e r7 , Huntington Beach, CA in the upstairs Confete,,ce Roo, r ar 3r: gin, > l,e soe: ` for the balance of 2010 and for the 2010 -201 1 ffisca; pe;iod are September 15, 2010 ;une 15, 2010 'e.--e-nber 2', 2010 2, 2p1 \Aarci, 16,21011 December 21, 2011 O 0•• •O �t -O O. .e P • SU s Resolution No. 2010-64 BID FINANCIALS 2010- 2011 BID BUDGET HUNTINGTON REACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT BUDGET OCTOBER 1 , 2010 TO SEPTEMBER 30, 2011 R E V' :' Previous Yea► ;-arryover $ 21,000 00 Business Impfovement Assessment 172,800 00 Total Revenue 193,800 00 cyp�\ICE- Ll _"-- City Charges 23,300 00 Promotional 59,400 00 Reader Boatd Sign Maintenance 41,20000 Car Store o9,900 00 Total Expenses 193,800.00 1 Monthly Assessment pet Dealer $ 1,44000 f, <r-r' t 7 �. = v c r—: F c• J - i ram:: � " o- 7 ', i � L� ✓ -'. -_. - l _ _ - A _ rl, f rysler•D°d a Ford . _. . z.,.� ,[��o. -�� ��-. �. _.�--'i� k� ,� �2 fir¢ 6_-�_Jl7 'J�`�Cj���, _°✓S"� � _ a r - i Turn:south onto-beach.-I '40ria� Jd. � t.'"-'f-Q> y�iA�C Ai{��1 trr,:'s Ott•�-. san_ ANNUA L REPQRT . W. (� s , . . .......... ... - � ; O " is �1 �1 S3V i 1 i4,., di 1%4 BLVD OF CARS STAR AT BELLA TERRA IAL' - _. t � &i�ssis .`." L.1 I i — _ ,. 7 ♦,f '�,1 1 S• U'�'1� MG3.u".t„ Ct C: r� �f �• Elwin VI �Q p� q F .t� 'Y 7 ,�iY ,,.,v t� lleiti' :N100S114pq ,+�t63d11 E' Y, _.,� z,.,.,�.;�- igk ��,,�� � �. Sao m,•(7i4J62 Bl�daf[ars5tore� I co �5277 WORS ��b �Pt 5•.9'4 + 1�e� v'? 5 ihryster Dodge Ford YO`et ` a , nay o� ��✓. - - 4�5, turn south ontobeach Blvd Mazda (VEtt'subig hi 1'Nis San ,'T°v°fa 04,'in; reef,'':est-'Ma in Sire etwesf@,aolecom Resolution No. 2010-64 Exhibit B Resolution No. 2010-64 Exhibit B HUNTINGTON BEACH AUTO DEALERS BID Each ®f the following business will be assessed $1,440 per month: H.B. CHRYSLER-JEEP H.B. FOR® RICK EVANS/BOSS HELMAN OSCAM BAKHTIARI/OMAR 16701 BEACH BLVD. 18255 BEACH BLVD. H.B. MAZ®A SURF CITY NISSAN JOHN PATTERSON/ERIC CASILLAS-GSM LARRY SMITH/FRE® ANGIULI 16800 BEACH BLVD. 17331 BEACH BLVD. TOYOTA OF SIB H.B. MITSUBISHI BOB MILLER/DENNIS PRA®O ABBAS AHMA®1/CHUCK BIEN 18881 BEACH BLVD. 16751 BEACH BLVD. ®ELILLO CHEVROLET MC KENNA MOTORS DAVE ®ELILL®/BILL ®EMAREST MARIN ®ELGA®O/®ANNY MC KENNA 18211 BEACH BLVD. 18711 BEACH BLVD. NORM REEVES HON®A HUNTINGTON BEACH DODGE PALL CONANT/JASON CURNYN CLAY .LAMES/LARRY SMITH 19131 BEACH BLVD. 16555 BEACH BLVD KIA HUNTINGTON BEACH KEN PHILLIPS 18835 Beach Blvd Res. No. 2010-64 STATE OF CALIFORNIA COUNTY OF ORANGE ) ss: CITY OF HUNTINGTON BEACH ) I, JOAN L FLYNN the duly elected, qualified City Clerk of the City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven, that the foregoing resolution was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council at a regular meeting thereof held on September 20, 2010 by the following vote. AYES: Carchio, Green, Bohr, Dwyer, Hansen NOES: None ABSENT: Coerper, Hardy ABSTAIN: None 04461 6z(- Ae-42 01y Clerk and ex-office Clerk of the City Council of the City of Huntington Beach, California ATTACHMENT #2 RESOLUTION NO. 2010-59 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH DECLARING THE CITY'S INTENTION TO LEVY AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2010-2011 WHEREAS, the Parking and Business Improvement Area Law of 1989, codified at Streets and Highways Code § 36500, et seq. (the"Act') authorizes cities to establish parking and business improvement areas for the purpose of imposing benefit assessments on businesses for certain purposes;and The City Council has formed a business improvement area,known as the Huntington Beach Auto Dealers Association Business Improvement District (the "District"), by the passage of -Ordinance 3175 on September 8, 1992. The City is proposing to levy an assessment for fiscal year 2010-2011 pursuant to the process detailed in Streets and Highways Code§36500,et seq.;and The District's Advisory Board has prepared and filed with the City Clerk a report for Fiscal Year 2009-2010, ("Annual Report") which-sets forth the amount and basis of levying the assessment for Fiscal Year 2010-2011. NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby resolve,determine and find as follows: SECTION 1. The City Council hereby approves the Annual Report filed by the Advisory Board in the City Clerk's office attached hereto as Exhibit A and incorporated herein by this reference, which includes a proposed budget for Fiscal Year 2010-2011 and a description of the improvements and activities to be provided for Fiscal Year 2010-2011. SECTION 2. The City Council hereby declares its intent to levy and collect assessments within the District for Fiscal Year 2010-2011. The levy is to apply to small businesses classified by the City of Huntington Beach License Code as Class A Retail Sales, (Al) Auto, New, Used, Parts, including new business of that classification located within the District as shown in Exhibit B in the amounts set forth therein,which exhibit is incorporated herein by this reference. SECTION 3. The assessments collected will be used to cover costs to operate, upgrade, and maintain an electronic reader board located within the City of Huntington Beach west of the intersection of Beach Boulevard and Center Avenue and other promotional and advertising activities. SECTION 4. A public hearing shall be held before the City Council on September 20, 2010 , at 6:00 p.m,or as soon thereafter as this matter may be heard,in the Council Chambers of the City Hall, 2000 Main Street, Huntington Beach, California, at which time the Council will hear all interested persons for or against levying of the assessment, and the furnishing of specified types of improvements or activities. Protests may be made orally or in writing; but, if written, shall be filed with the City Clerk at or before the time fixed for the hearing 09-2124 001/48857 1 -807- Resolution No. 2010-59 and contain sufficient documentation to verify business ownership and validate the particular protest. If written protests are received by the owners of businesses within the District,which will pay 50%or more of the total assessments to be levied,no further proceedings to levy the proposed assessment shall be taken for a period of one year from the date of the finding of a majority protest by the City Council. If the majority protest is only against the furnishing of a specified type or types of improvements or activity within the District,those types of improvements or activities shall be eliminated. SECTION 5. The City Clerk is hereby directed to provide notice of the public hearing by causing the this resolution of intention to be published once in a newspaper of general circulation at least seven days before the public hearing. SECTION 6. Further information regarding the proposed business improvement district may be obtained at the Huntington Beach City Hall, 2000 Main Street, Huntington Beach, California 92648; telephone (714) 536-5542; or from the Huntington Beach Auto Dealers Association,Inc.,P.O.Box 2700,Huntington Beach,CA 92648;telephone(949)831-3443. SECTION 7. The City Clerk shall mail a complete copy of this resolution of intention by first-class mail to each business owner in this area within seven days after the Council's adoption of this resolution. SECTION 8 This resolution shall take effect immediately upon adoption. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 16th day of August ,2010. M o REVIE APPROVED INITIATED AND APPROVED: A7 ,�e4 City ' 'strator Director of Economi elopment APPROVED AS TO FORM: Jity Attorney Jk v G-30-10 09-2124 001/48857 2 -808- Resolution No. 2010-59 Exhibit A- Annual Report -809- Resolution No. 21 1 Chrysler Dodge • Ford Ho Covet - 4 ,� nd� • J Q.�_ -- oJJrr� ,. 't • �tL_ .�.. �r%U�a r F' r QQp �'urrn� ��uf� crnf�-b2ach=►al�d-:�- -�L 1 t I azda • Mi#subishl • Nissan ToY TH E HUNTINGTON BEACH AUTO DEALERS BUSINESS IMPROVEMENT DISTRICT 0 r INTRODUCTION The Huntington Beach Auto Dealers Association (Association) was formed on August 15, 1990 out of the desire to bring New r Car Dealers on Beach Blvd. together to loin forces, develop cooperative community and marketing plans and better serve their industry and the City of Huntington Beach. Subsequently, on September 8, 1992 the Huntington Beach City Council approved Ordinance No. 3175 establ,sh,ng The Huntington 3ec:tl 'L,to Dealers Business Improver; -2n, District i81D) as a ,iethod of financing and maintaining their *hen,state-of-the-art r�P Digi+rl Reader Board Sign (Sign) This ;,ear, 2010 marks the i-` v Association.20th anniversary of the soc f,L,ly -e stcut of something big, the Association, BID and P_ S-gn, -eoresent a series of actions that have helped protect a meamngtul cash-flow to the city in terms of significant sales tax genet urion, and of course, represents the Minding force among wF J i the oov, t 1 New Car Dealers dotting the landscape of Beach Blvd ,Surf City,Huntington Beach,Cal,fornia These components have worked together to insure all parties continuity of message and a unified organization to work within. -�11- Resolution No. 2010-59 MISSION STATEMENT OF THE HUNTINGTON BEACH AUTO DEALERS ASSOCIATION The Hunting,on Beach Auto Dealers Association is dedicated ,e x II Y4 � serving then New Car Dealer Members They stripe to promote their collective business success, providing an effective marketing 'w �F t., message, assisting Kith common issues to provide the :.ornr-uni'� .they serve with a variety of meaningful programs The Association works to protect and expand their business segment m ordei ro be able to provide leadership and focus so that both the iie,rbers they serve and our community remain healthy and prosperous r r _a F 0... • o o'�' o .812- A NOSTALGIC PAST Mustangs, Corvettes, Chargers, Continentals, Lincoln, Malibu, Thunderbird, Hummers, Plymouth, Honda and Toyota dOTted the early Beach Blvd. landscape. Names like CalWorthington, Groth,Terry York,Gustafson, Bill Maxey took the Blvd. through much of its growth during the 1960's, 70's and '80's. For Example, DeLillo Chevrolet has been family owned and operated since 1960; similarly HS Chrysler / Jeep has-been family owned and operated since 1966 They are local people serving local people from the same locations in Huntingtoo Beach for well over 40 Years. Oualcil Toda/ The 'Huntingron 3acic= Auto Dealers Association, their Beach Blvd of Gars b"Cali.. circt file" ?51" . ., $To,c -IT Relic re-"Cl Shopping IV.c'jl S , I N',8 y `i+;° C _ tr I co'oc'clie pa"Trio• ;n the Form of Pros and tn-i( ne. Kl-' S�To`e ci' il,.e fO1mB' SaTUin jocotlon With the receni renoyC.T 011 7: the chgita Reacle, Sand Sign,t'.^e complete -a-butla Of The Toyota oT Huntington o2C;C f rancn,se, the significant e/oansicii, of the Norm Reeves Honda SUpe, Store locatior cinct the recer,re-bul(ct of the OC Mc-zdn,'HB+,ttazde'; sTv^re the continuing confidence in th1 c utomorive industry by out memoers has been a bright star for the AssociCiiclo lell cis the ._ornrrlu'lity in ,pine of c' s.)"1?n^%;r ,e:ent Clv �,tLrn in the economy In additloo, De:!Pi it' I,ghr (iJ-'} rruck sc"les, H"1 MITSUb15�1 IS*ilE 11L IS�Yr Cl?Cie(In the Li:,1���'j+C'L hc`it ,jet ,as tcippeci by Vie,\to cotltinue and expand �n_3i, f(anchlse Chrysler and Dodge ale family owned businesses that ale run hands-on cind bottom line Our Nissan Store is now gait of a huge conglomeraTe — automoi ve group out of Solt 1_ake City rind operares cis a top score it) their chain Toyota or Huntington Beach, part of the Wilson Autornotiie Group recently spent over $20 mill-on to re-state their commitment to out community. We are: Eleven New Cal dealeis acting cis :)1ne /hen it Collies to marketing, community and investment 9 li -813- Resolution No. 2010-59 .0 0 e_ READER BOARD SIGN The center, heart and soul of The Huntington Beach Auto Dealers Association and their Beach Blvd of Cars Store, (through their management of The Huntington Beach Auto Dealers Business Improvement District)is their Digital Reader Board Sign. The one single business decision made by the "Association" that has had and will continue to have the largest and most positive impact on their ability to accomplish their Mission Statement is. The Reader Board Sign and its power to touch several hundred thousand people per day along the infamous 405, San Diego Freeway in both directions. Protecting that asset,maintaining it at the highest standards, allowing the Sign to grow and mature in these challenging times is crucial to the continued cash-flow to the city. The resulting sales tax and the on-going business of the Dealer Members is a direct result of their Reader Board effort. The Sign currently operates between the pours of 5 a in and ,Midnight ;arm dcvl is govern-ad' by CalTrans' p ,cies it i r-1operates 7 5 stric' of c �c o y +odcry be ,S� Jr to -Dry r long, prorYacteC' pi r cess ihaT the C'ty and the Assoc,at+on engaged it; over the pest three /ears - concluding favorably This year The Sign had been out of compliance with changed policies at CalTrans for several years, issues otigmally unknown to the i Dealers resulting from CalTrans radically changing permit conditions When the Dealers ,/ere finally able to iclentiTy Those issues -they were I" able to comply ",th them early in 201,0 �J These `Signs" are also the bread and but:-r o+ all 1,,e Auto Malls that s M fi r� dor Southern California They sit a The center of Ecoroinic Development j programs for hundreds of Dealers and dozens all:communities throughout _ z the Region Reader Board Signs contirue ro e'.oTve n size, shape and t - technology For example, the following rendering represents the state t of the art Digital Reader Board Sign design that would protect our mutual asset over the next ten years and is only offered as a concept As 9 Managers of a huge responsibility to our members and the community i we are continually evaluating all aspects of our mutual business goals from technology, innovation, marketing and advertising perspectives ail T This is one such effort �f°r'� �»A siYa`a'cros ' 13 "Stncsat 8.th.Terta t'•� cot errw eue�. - ^va+. -�+-� �,����'Yd.i�iyn-awy �.^<i.'Y,' �s ✓JV�j��j'lsi'( ..,�'fi��< F, . ��t � � u < � k YEAR ,u r cw asuFnzn-r, CFN} III T311GL 1I :<'t 'cal -- ],411i2-GG1, .:+Iw s© •�:� '� Cont+nuin the sfor of Calfirans `the Reader Board Si nand r• 8 1 hi` regu{ations,''the Association agreed to open a wiQ "refiall" presence m-and about fihe location of: their Sign At 5 stgn+ficant expense:(details.in financial report),:the Association now employs"two full time reprresentatrves with payroll,worUl kers com ;:insurance considers#+ons, site sI na e, a ui ments etc °N is=aTI©�+ Labor, rent and office operas+ori represents almost 4Q% of the TOTAL 12 LAR kASHE! R :total BID Annual Budget The Association negotiated:w+th Bella Terra Ma!! owrtiersh+p the use :of theiK then.•: I vacant Concierge Desk bcated af;the+r Amph+theater by the Century Theatres The Blvd of Cars Store plays a clisaE roes +s in fact the host for the Mall attend+ng to scores of d. customer vis+tors looking for everything from the nearest bathroom to.spAc+f c '- individual tenant store locations The core_role of Blvd'of Cars Store'& lnformafiion Center is to propagate Interest irt.transportation products offered ,by the lvlember ©eaters The latter includes: electron+c hook up #o each-dealer member through the MOO!*,and web sites to deal+ng with any walk up client Issue Llterdture far each d • - Dealer Is'on display, teephond I+nes'exist for r Instant access to` mdlvtdual dealers for any p v chehfi questions or needs Shuttle Service is _ BELLA TERRq �— provided by each deafer to and from Bella -.. Terra Arran ements can be made to test dr+ve g vehicles Certain Member dealers 'provide S � y 1 , The Blvd .of Cars Store hours` operation w � ���� >,y'w�•� 1Kednesday through Sunday Noon to $ pm M Phone (714)622 5277 Em`atf °81vdo'fCarsStdeb Qki.ol com. Resolution NO. 2010-59 CURRENT DEALER MEMBERS The Huntington Beach Auto Dealers Association acting as Managers of The Huntington Beach Auto Dealers Business Improvement District include: HB Dodge HB Mazda HB Ford 714-847-5515 714-848-7739 714-842-6611 www.hbdodge.com www.ocmazda.com www.huntingtonbeachford.com HB Chrysler Jeep Surf City Nissan of HB McKenna VW HB 714-841-3999 714-500-6000 866-925-0602 www.hbchrysterieep.com www.surfcitynisson.com www.mckennavolkswagen.com HB Mitsubishi DeLillo Chevrolet Toyota of HB 888-780-9895 714-847-6087 714-847-8555 www.hbmitsu.com www.delillo.com www.toyotaofhb.com Kia of HB Norm Reeves Honda Superstore TBD 714-842-5431 www.normreeveshuntingtonbeach.com The certified Executive Committee of Boaro of Directors of the Association also stt as the Bi'D Board Members and they are Bob Miller, (Toyota of Huntington Beach) acts as President Paul Conant,(Norm Reeves Honda Super Store) acts as Vice President Bill Demarest,(DeLillo Chevrolet) act as CFO The Huntington Beach Auto Dealers Business lrnp t-rd Wednesday of each cluarte� at Toyota of H"n> .oaf o i eac; Huntington Beach, Ck in the upstairs Confer-oce Po"' -. ar 8 an-, for the balance of 2010 and for the 2010 -201 1 fiscal oe11od are September i S 2010 tune 15, 2010 _-_e-nb-r 1010 SeCZe'T,ber 2, 201 i 1\11acc1, In 2011 December 21,2011 60 AM � outh ont6-b,edch-b1N,,d. rVI TO -816- BID FINANCIALS 2010- 2011 BID BUDGET HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT BUDGET OCTOBER 1 , 2010 TO SEPTEMBER 30, 2011 REV Previous Year Carryover $ 21,000 00 Business Improvement assessment 172,800 00 Total Revenue 193,800 00 ` pL�l�`c City Charges 23,300 00 Promotional 59,400 00 Reader Board Sign Maintenance 41,200 00 Car Store 69,900 00 Total Expenses 193,800 00 l Monthly Assessment pei Dealer $ 1,44000 - - H Y -817- i ! n yy v : J' - - - � �.fi +•rr.-r• 'art - _ 4 r r: , r� wsi E� • +a of ,� -771 pyjuLEf." �.�<,'- rrczre� try -- r�,l -; rysler•Dodge•F,ord F{ da. � -r� 3 �,� :'4'u3ktS.FxTr 1' .� ' t:: eeo G"4 5�' Y,t:" }- � ¢Vr�,C{•�( e, r J of j������ ° O�'"'.� Je°A o_ .. �. r�-��_:- _�-,- --- �_-- •:'�—. 1 'iurn`svutti onto-beach blvd �- v,.; - :i_ _ -:" �* •dal issam•toYo _ M Aft f UALR +PART p 1 20 a 201 0 *:r Now I-• C T `�j� ��f� i4i`YS» t a s r�f Y q•-^ 7jt J FQI. �f F � WO OF EARS STAR AT BELLA TERRA MAL. �� i. �I SM1E C04 I 0 - '•Tn CO Ih MW IF �i n 11J I G 0 'J.••Gn `•' lil G CII _.. � - u - >: Cc .rS�$ _. Lsr"� 'z"'"' a.Sl,;;r",�, - li; r '��• y,F _. •Ff �rb.: �„� ... x4�w"a` - r., ''`:�+L�awe� '�•"t h; w..v. � 7. ::ase�' 67`C,n �` 7,4� z•s 3® I "'L'l.L 1T -_—�.! __ s-sz, a 2, `.. �'"F R-cah.� "� 't- 41- s�'E.C•��-.�? cts t:.ln �1c F ERIt d A 4 'h J��`{&<e lCT•x"G., HS c. c`�'na. *-; _- y. ., T.::_' '��"'., V� �7.3 v` xa1*.. 2`y .^t"•c.'1 F r'T.J1 � T�11 }ram 32�97[+? „3 Y ,� 77�1•E36773D , .. � i,"'..vat?s�i+P�c,Qa3•i•"" "��i`Y.n.:,3d).11`u �� I 77att7 r ar5 r-w S�a..' 7,M1 IIM12 GGGGI Ill ia2-5� : s. .�.1 � y ��C�`1 €� U tT'I'� 1 •� ��5�., x���' �;,�-xfs�"" �Y.L �: � � � ' Bpi _ { 1 �����.• 6 t [0 t a. u �� 8ludnfCar�Store'�ad m (714j6 ... .. �5% F:�{ ��`nl"�3c�i�'' ��'.i•'x,'�v.T"�c1n' �'za}Ie - ff 5277 V�{iIP i ` r., ls}w 1 yj.7 VkF fQ#� j 4 tY ` n Si6T DOdge Fofd � I Grew t'� �Ma7n south ont6-3eachsbivd 4� �azifa 'R2i stir Nissan.4oY0'�a. N,uirr°5 rEet Jest--MainStr`eetWest@aol.'oM;,- Resolution`O 2010-59 Exhibit B -820- Resolution No. 2010-59 Exhibit B HUNTINGTON BEACH AUTO DEALERS BID LOST OF MEMBER H.B. CHRYSLER-JEEP H.B. FORD RICK EVANS/ROSS HELMAN OSCAR BAKHTIARI/OMAR 16701 BEACH BLVD. 18255 BEACH BLVD. PHONE 841-3999 FAX 842-2903-841-9993 PHONE 842-6611 FAX 847-8788 H.B. MAZDA SURF CITY NISSAN JOHN PATTERSON/ERIC CASILLAS-GSM LARRY SMITHIFRED ANGIULI 16800 BEACH BLVD. 17331 BEACH BLVD. PHONE 848-7739 FAX 847-1265 842-6666 F 375-00761847-0759 TOYOTA OF HS H.B. MITSUBISHI BOB MILLER/DENNIS PRADO ABBAS AHMADI/CHUCK BIEN 18881 BEACH BLVD. 16751 BEACH BLVD. PHONE 847-8555 FAX 847-1105 PHONE 375-9493 FAX 842-1563 DELILLO CHEVROLET MC KENNA MOTORS DAVE DELILLO/BILL DEMAREST MARIN DELGADO/DANNY MC KENNA 18211 BEACH BLVD. 18711 BEACH BLVD. PHONE 847-6087 FAX 847-6721 PHONE 842-2000 FAX 714-843-8369 NORM REEVES HONDA HUNTINGTON BEACH DODGE PAUL CONANTIJASON CURNYN CLAY JAMES/LARRY SMITH 19131 BEACH BLVD. 16555 BEACH BLVD PHONE 842-5431 FAX 375-9783 PHONE 847-5515 FAX 596-0230 KIA BILL NELSON A/DLR DIRECTOR 18835 Beach Blvd 714-536-8614 suefhWsocal.mcom -821- Res. No. 2010 69 STATE OF CALIFORNIA COUNTY OF ORANGE ) ss: CITY OF HUNTINGTON BEACH ) I, JOAN L. FLYNN the duly elected, qualified City Clerk of the City of Huntington Beach, and ex-offiao Clerk of the City Council of said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven, that the foregoing resolution was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council at a regular meeting thereof held on August 16, 2010 by the following vote. AYES: Carchio, Coerper, Hardy, Green, Bohr, Hansen NOES: None ABSENT: Dwyer ABSTAIN: None 4 Cit#lerk and ex-officio Wdlyrk of the City Council of the City of Huntington Beach, California -822- ATTACHMENT #3 17' \ a > \ \ ) of Aft -824- A to ul ea , . m � : atr i-oFn,- 992 : HB Auto Dealers Assoc T nested the formation of a a ^ Business Improve-ment ' Distrsct BID. . to.' operate and maintain the -electronic Reader Board . Si n g a acent .tot: he 405' freewa.y . ,: �` w,3�§w•».,.�k`�'a �' ��� �y,g..f.:�. .;�',A'e. �; ,u�.exi^�,s �e.� ,� . Mell mbe a H B C li rysil e r iJ�ee T,o ota of H u n t i n to n - - Beach _ DeL i I Io C hevrollet :Norm Reeves Hon da McKenna, Motors :eil _4 L 7-17, H B _Fb rd Surf C,iijtyw N is. a n BID Hunt,i.nnto-n Beach Dodge HB = �Mitsub _I hi- t n 'Y 3 of n Beach F3 KIA H u nt� ngto N m as 4 s r op" se Budget TotalBudgetm . - $ 193800 7'.2 ,800 ,a��n't.�i�cip-a�ted,' assessrnents Monthly assessment Hof $,l ,,44,5,-- ,pe,'r dealer 0 0�0 ca rr y ow$21 e r ro rn re�s�e�ry es Karketing . and Promotional Activit'ies . Rea d e r B o ard Si gn M a � nten'ance : zz Blvd, -of ' C a rs Store at BeI Ia Terral r F e � _ r' :h I rn = SC edu r e _P I is -H a n c e-,s,, -,. fd :o ub ear a Re so, of _Intention toLev - _ ,y: - An n I' A-- m n u a sse s e t Ad o ted .Au u st p . g 1, 6 2 0 1- 0 Copi,e s and he�a r i n g not ices a , .. m a:i I ed u_bI fished /'p _ - Pu bli-c hea ri n re u i red Ito Co::nsider Re _ m aII rotests ag a i nswI D = Sre,newani, - Co u n c i 1 - to` co nserd e r w,rrtte na rote sts: ti� s �Onttons to renew not: re ne w3f, � �a�d1 c 1� owt eullr, , PUb, r Written Protests : If w r itt n, protest's of a ssaess n1 e nts are, . received, from affected busuness' ' owners that e � ua:te Eto 5W%, or more of the q a ses m erit no further proceedings to, approve.:- for-a' =he a s�s.ess ment ca{n be.- ta ke n eriod of oneyea r p .. .... P -p s T ' r IN, Y Nil ufi • 4 _ e c frnded. Conduct the u bI ic hea ri n r Determine pe:rce�ntage - o�f w.r�itte n -ro ests p ' If more- than. �50%0 of assessments rep rese=nted , �C,ouncbil cannon app rove . or . consider again . for for- One, year .: Cont s I'd e r eRe s o l u t i nto', Ap. �r�ove o p 'An��n, u�a I a Asses�sm�en t vrth i :n �t h e s - v t H u �n�t n�� B;e a c h =A u to.� ,�� D.,e', �[e, � g w x Ass- aciatilon . Bus ness I,rn rpovemOft t p D i�s tri c fo e r 2F 1 2 ��i�� F� .h Huntington Beach Independent has been adjudged a newspaper of general circulation in Huntington Beach and Orange County by Decree of the Superior Court of Orange County State of California,under date of Aug 24, 1994,case A50479 PROOF OF RESOLUTION NO.2010-59 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PUBLICATION HUNTINGTUA BEACH DECLARING THE HECITY'SHU INTENTION TO E LEVY AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2010-2011 WHEREAS, the Parking and Business Improvement Area Law of 1989, codified at Streets and Highways Code § 36500, et seq (the "Act") STATE OF CALIFORNIA ) authorizes cities to establish parking and business improvement areas for the purpose of imposing benefit assessments on businesses for certain purposes,and The City Council has formed a business improvement area, known as ) SS. the Huntington Beach Auto Dealers Association Business Improvement COUNTY OF ORANGE ) District(the"District"),by the passage of Ordinance ent on September 8, 1992 The City is proposing to levy an assessment for fiscal year 2010-2011 pursuant to the process detailed in Streets and Highways Code§36500,et seq,and The District's Advisory Board has prepared and filed with the City am the Citizen of the United States and a Clerk a report for Fiscal Year 2009-2010, ("Annual Report") which sets forth the amount and basis of levying the assessment for Fiscal Year resident of the County aforesaid, I am over 211 NOW�THEREFORE, the City Council of the City of Huntington Beach the age of eighteen ears and not a art does hereby resolve,determine and find as follows y g years, party SECTION 1 The City Council hereby approves the Annual Report filed to or interested in the below entitled matter by the Advisory Board in the City,Clerk's office attached hereto as Exhibit A and incorporated herein by this reference, which includes a am a principal clerk of the HUNTINGTON proposed budget for Fiscal Year provided and a description of the improvements and activities to be provided for Fiscal Year 2010-2011 BEACH INDEPENDENT a newspaper of SECTION 2 The City Council District decfor Fiscal its intent 0- levy and , collect assessments within the Distract for Fiscal Year 2010-2011 The ggeneral circulation anted and published m levy is to apply to small businesses classified by the City of'HunUngton , p p Beach License Code as Class A Retail Sales, (Al) Auto, New, Used, the Clt of Huntln ton Beach COUn Of Parts, including new business of that classification located within the y g , ty District as shown in Exhibit B in the amounts set forth therein, which exhibit is incorporated herein by this reference Orange, State of California, and the SECTION 3 The assessments collected will be used to cover costs to operate, upgrade,and maintain an electronic reader board located within attached Notice is a true and complete copy the City of Huntington Beach west of the intersection of Beach Boulevard and Center Avenue and other promotional and advertising activities as was printed and published on the SECTION 4 A public hearing shall be held before the City Council on following date(s) September 20, 2010 at 6 00 p in, or as soon thereafter as this matter may be heard, in the Council Chambers of the City Hall, 2000 Main Street, Huntington Beach, California, at which time the Council will hear all interested persons for or against levying of the assessment, and the furnishing of specified types of improvements or activities Protests may be made orally or in writing, but, if written, shall be filed with the City Clerk at or before the time fixed for the hearing and contain sufficient documentation to verify business ownership and validate the particular protest If written protests are received by the owners of businesses within the District,which will pay 50% or more of the total assessments August 26 2010 to be levied, no further proceedings to levy the proposed assessment shall be taken for a period of one year from the date of the finding of a majority protest by the City Council If the majority protest is only against the furnishing of a specified type or types of improvements or activity within the District, those types of improvements or activities shall be eliminated SECTION 5 The City Clerk is hereby directed to provide notice of the public hearing by causing the this resolution of intention to be published once in a newspaper of general circulation at least seven days before the public hearing SECTION 6 Further information regarding the proposed business declare, under penalty of perjury, that the improvement district may be obtained at the Huntington Beach City Hall, 2000 Main Street, Huntington Beach, California 92648, telephone foregoing is true and correct. (714) 536-5542, or from the Huntington Beach Auto Dealers Association, Inc, P 0 Box 2700, Huntington Beach, CA 92648, telephone (949) 831 3443 SECTION 7 The City Clerk shall mail a complete copy of this resolution of intention by first-class mail to each business owner in this area within seven days after the Council's adoption of this resolution Executed on August 27, 2010 SECTION 8 This resolution shall take effect immediately upon adoption PASSED AND ADOPTED by the City Council of the City of Huntington at Costa Mesa, California Beach at a regular meeting thereof held on the 16th day of August,2010 REVIEWED AND APPROVED /s/Fred Wilson City Administrator I 2 /s/Cathy Green Mayor INITIATED AND APPROVED /s/Stanley Smalewitz SignaIffirector of Economic APPROVED AS TO FORM velopment /s/Jennifer McGrath City Attorney A copy of the Annual Report (Exhibit A) and a list of auto dealers (Exhibit B)are available in the City Clerk's office at Huntington Beach Civic Center 2nd Floor 2000 Main Street Huntington Beach,CA 92648 Published Huntington Beach Independent August 26,2010 084-919 Council/Agency Meeting Held _4 �o l� Deferred/Continued to A r ved ❑ Con itio ally A proved ❑ Denied i YCler s Sign re Council Meeting Date August 16 2010 Department ID Number ED 10-035 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO Honorable Mayor and City Council Members SUBMITTED BY Fred A Wilson City Administrator PREPARED BY Stanley Smalewitz Director of Economic Development SUBJECT Approve the Annual Report and 2010/2011 Fiscal Year Budget of the Huntington Beach Auto Dealers Business Improvement District (BID) adopt Resolution No 2010-59 declaring the City's intention to levy an annual assessment for 2010/2011 within the Huntington Beach Auto Dealers Business Improvement District and schedule a public hearing for September 20 2010 to provide an opportunity for affected businesses to protest Statement of Issue On September 8 1992 the City Council approved Ordinance No 3175 to establish the Huntington Beach Auto Dealers Association Business Improvement District (BID) as a method for financing the construction costs operation and maintenance of the electronic reader board sign and other promotional programs The State of California Parking and Business Improvement Law of 1989 requires an Annual Report be filed for each fiscal year a Resolution of Intention be passed to levy an assessment for the next fiscal year and a public hearing date be set Financial Impact Revenues and expenses will be included in the 2010/11 Huntington Beach Auto Dealers Association Business Improvement District Budget (Fund 701) Recommended Action Motion to A) Approve the Annual Report and Fiscal Year 2010-2011 Budget of the Huntington Beach Auto Dealers Association Business Improvement District and B) Adopt City Council Resolution No 2010-59 A Resolution of the City Council of the City of Huntington Beach Declaring the City s Intention to Levy an Annual Assessment Within the Huntington Beach Auto Dealers Association Business Improvement District for Fiscal Year 2010/11 and C) Direct the City Clerk to schedule a public hearing to be held on September 20 2010 and send copies of the Resolution of Intention and assessment formula to each business to be assessed and publish the same in a newspaper of general circulation as required Alternative Action(s) 1 Do not approve the Annual Report and Fiscal Year 2010-2011 Budget 2 Deny the request to approve the Resolution of Intention -79- Item 10 - Page I REQUEST FOR COUNCIL ACTION MEETING DATE 8/16/2010 DEPARTMENT ID NUMBER ED 10-35 Analysis At the request of the Huntington Beach Auto Dealers Association City Council formed the Auto Dealers Association Business Improvement District (BID) in 1992 to fund the Dealers obligation to operate and maintain the electronic reader board sign located by the 405- freeway that was first constructed in 1992 On October 19 2009 the Redevelopment Agency approved a loan of up to $232 500 with the Auto Dealers Association to assist with the maintenance and operation of the reader board sign Under the Business Improvement District State Law the Auto Dealers budget additional monies to market and operate other programs to enhance their BID As part of this effort the BID opened the Beach Boulevard of Cars Store at the Bella Terra on April 1 2010 In order for the Auto Dealers BID to be renewed City Council needs to approve their annual report and their proposed budget for Fiscal Year 2010-2011 The Huntington Beach Auto Dealers Association serves as the BID Advisory Board As part of the 2010-2011 annual assessment the Auto Dealers BID Advisory Board adopts an annual BID budget and establishes the amount that BID members are assessed At their June 16 2010 meeting the Advisory Board adopted a budget-of $193 800 for Fiscal Year 2010-11 This will allow the monthly assessment to remain the same as the previous fiscal year $1 445 per dealer As required by State law a protest hearing must be held to provide the opportunity for any affected businesses to voice their protests or they can submit protests in writing before the public hearing The Resolution of Intention sets this hearing for September 20 2010 At that time the City Council will tally the percentage of assessments protested if any and will hear additional public comments on the renewal of the Auto Dealers BID If the protests total less than 50% of the total amount of money to be collected the City Council can approve the renewal of the BID The City Council also has the option of reducing assessments or modifying the BID boundary area if public comments prompt adjustments Environmental Status Not applicable Strategic Plan Goal Enhance Economic Development Attachment(s) . . Resolution No 2010-59 A Resolution of the City Council of the City of Huntington Beach Declaring the City s Intention to Levy an Annual Assessment within the Huntington Beach Auto Dealers Association Business Improvement District for Fiscal Year 2010/11 Item 10 - Page 2 _80- ATTACHMENT # 1 1. RESOLUTION NO 2010-59 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH DECLARING THE CITY S INTENTION TO LEVY AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2010-2011 WHEREAS, the Parking and Business Improvement Area Law of 1989, codified at Streets and Highways Code § 36500, et seq (the "Act") authorizes cities to establish parking and business improvement areas for the purpose of imposing benefit assessments on businesses for certain purposes and The City Council has formed a business improvement area known as the Huntington Beach Auto Dealers Association Business Improvement District (the "District ) by the passage of Ordinance 3175 on September 8 1992 The City is proposing to levy an assessment for fiscal year 2010-2011 pursuant to the process detailed in Streets and Highways Code §36500 et seq and The District s Advisory Board has prepared and filed with the City Clerk a report for Fiscal Year 2009-2010 ("Annual Report ) which sets forth the amount and basis of levying the assessment for Fiscal Year 2010-2011 NOW THEREFORE the City Council of the City of Huntington Beach does hereby resolve determine and find as follows SECTION i The City Council hereby approves the Annual Report filed by the Advisory Board in the City Clerk's office attached hereto as Exhibit A and incorporated herein by this reference, which includes a proposed budget for Fiscal Year 2010-2011 and a description of the improvements and activities to be provided for Fiscal Year 2010-2011 SECTION 2 The City Council hereby declares its intent to levy and collect assessments within the District for Fiscal Year 2010-2011 The levy is to apply to small businesses classified by the City of Huntington Beach License Code as Class A Retail Sales (Al) Auto New Used Parts, including new business of that classification located within the District as shown in Exhibit B in the amounts set forth therein, which exhibit is incorporated herein by this reference SECTION 3 The assessments collected will be used to cover costs to operate upgrade and maintain an electronic reader board located within the City of Huntington Beach west of the intersection of Beach Boulevard and Center Avenue and other promotional and advertising activities SECTION 4 A public hearing shall be held before the City Council on September 20 2010 at 6 00 p in , or as soon thereafter as this matter may be heard in the Council Chambers of the City Hall, 2000 Main Street, Huntington Beach, California, at which time the Council will hear all interested persons for or against levying of the assessment and the furnishing of specified types of improvements or activities Protests may be made orally or in writing but, if written shall be filed with the City Clerk at or before the time fixed for the hearing 09 2124 001/4M,7 1 Resolution No 2010-59 and contain sufficient documentation to verify business ownership and validate the particular protest If written protests are received by the owners of businesses within the District, which will pay 50% or more of the total assessments to be levied, no further proceedings to levy the proposed assessment shall be taken for a period of one year from the date of the finding of a majority protest by the City Council If the majority protest is only against the furnishing of a specified type or types of improvements or activity within the District,those types of improvements or activities shall be eliminated SECTION 5 The City Clerk is hereby directed to provide notice of the public hearing by causing the this resolution of intention to be published once in a newspaper of general circulation at least seven days before the public hearing SECTION 6 Further information regarding the proposed business improvement district may be obtained at the Huntington Beach City Hall, 2000 Main Street, Huntington Beach California 92648 telephone (714) 536-5542, or from the Huntington Beach Auto Dealers Association Inc , P O Box 2700 Huntington Beach, CA 92648, telephone (949) 831-3443 SECTION 7 The City Clerk shall mail a complete copy of this resolution of intention by first-class mail to each business owner in this area within seven days after the Council's adoption of this resolution SECTION 8 This resolution shall take effect immediately upon adoption PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 16th day of August , 2010 M o REVIE tD APPROVED INITIATED AND APPROVED City strator Director of Economi elopment APPROVED AS TO FORM fW liety Attorney b 3a b 09 2124 001/48857 2 Resolution No 2010-59 E xhibi Annual Ke00% Of L Resolution N• 2010-59 Chrysler' • Dodge • Ford . ro�et da , Je ram'' , � l� -, �✓4 � j � r��; _ �.c "�'�t °: cA TH E 405-,'9 burn south�aontofbeachEab'i`�d�, Mazda • M%tsuMishi • Nissan ' T�y.�ta HUNTINGTON BEACH AUTO DEALERS BUSINESS IMPROVEMENT DISTRICT N :A L wYE PO R -.Molt, 0 f INTRODUCTION The rluntington Beach Auto Dealers Assoc ation (Association) wa�, r� ri ed on August 15, 1990 out of the desire to bring New Car Dealers on Beach Blvd together to to n fo ces, develop cooperative community and marketing plans and better serve +,e clu v and The City of '-iunting;o-i Beach Subsequently, o SepTer ber 8 1992 the Hurin Tq o- aec bI C°ty Counc,` Po'o r Ordinrince No S i 73 e r,. ne Huntington i;fir A n. rq G 'DCA a J a C,n 0 T a,kz, tq- 5 � I erscii of the A sock r of- of sonnet - a B -C ' es, i -i erie� c: Ci, -i r le1z e'Ci 0 oler, � v" to ale Se - �,iqf vw �,cles � I. die C,ir e lei, tii I ri ! ci-- :t 'e,,,r t DI ,c lm rf Cifv,H.ntington C- or Tneye o iiponI ni nc a e ked together o inaure c.li parr e continuity of message arc, L,iifieo organization to o k ithin AML Resolution No 2010-59 MISSION STATEMENT OF TI IF HUNTINGTON BEACH AUTO DEALERS ASSOCIATION �ne --iQ nc of Be,,,-- �Au c ',>cie 3 A soc -:l,c3 8 servir;) t-eo Nle Ca Decle �,Awarlber TIle, S+ e � C In+- th--u collect -ie zsuCe a xC:vidirq air e .'ir 4 ''sic� c cj- 11 * ail 1s,,Zje t ;D ^ 9 1 - se ae r C ivr of -neGr'rlrjtU C'toj Ct-" , i ` Drt,, +o aro eta -mc e r=onci their uu�,ne e N �ibie tc j. -o d;fie leac:ie, �,l C; -iq,-A ocv ao thot �)C w v ltney �,e ,e er is ou co 3 -,lwi ry emci n nec 't[ > C G -r`l y b O O O�; O O 9 A NOSTALGIC PAST Mustangs, Corvette Cnc gers Continentals, Lincoln Malibu ThunderbA, Hurrmera, r 1yrnoutl-, Honda a-id T_-; orcj clotted the early 3ecch Blvd landscape Names lake CalWorthington Grath Ter y York Gustafson, Bill Maxev took the Blvd through much of its gro vtr, CILN Irg he 1960 '0 , and 30 s '=o E4amplo DeUllo &eirolet has been fc mil y oy ned and operated fnce 1 9b0 �,amiiariy HB Chrysler Jeep has seen tamsly o rued a 3d oo�D cited q nce i Q6o -ley are local people sere nq local people from the a-1- io-c t o L,'lTI- It- is^ or 3 1 0 f �lc Tc l it c w qC° oT t Car �. `'Lill d- # D .�� n _�. _C aU �, c. "z ,re jo `ot TiCi- I a e r a ` c ie 0 a a� u v CIO 0 1-Y n To ot- o -1,in,ingio i --,j z son -1.,omotive Group recert Y spe i o C .320 r" F o i c,te ,'3e r cc i ri er rc -o ii,-liunity We ;xe Eleven i%lo y ,. ieI --ii iv,m j -ind i lvu, n d"t Resolution No 2010-59 o o o� o��o READER BOAKD SIGIN The center, heart and soul of The Huntington Beach Auto Dealers Association and their Beach Blvd of Cars Store (through their management of The Huntington Beach Auto Dealers Busiress lmprotiernent Distt ict) 13 their Digital Reader Board Sign Tne one single business decision matte by the Association that has has and will continue to have the largess and most positive impact on their ability to accomplish their Mission Statement is The Reader Board Sign and its power to touch several hundred thousand people per day along the inramous 405, San Diego Freeway in both directions Protecting that asset maintaining it at the highest standards, allowing the Sign to grow and mature in these challenging times is crucial to the continued cash -loA to the city The resulting gales#cx and the on going business of the Dealet Members is a dire- resui of tnei, header Board ei-fort -ham S gr er o,,erate5 bets een ne t'c er o i T1 and M dri nY C M^ +y geC ntl u �t C e of duc t b Y T vj I le Sign r CIC3 Geer )1_1 Z� w-Cii )ii i C= V Tn c-nan ec �rI e,., C C i i ur 5 ror se e of xec` 7 ;a 07 �� --I y 'inknowr to Brie U; 10y Tr0'r1 '-;alT -rt, rai'icr i '",i ]c, t��'x'f31n C.3r'ditiot1 VN� 1?It tqe ✓er 1Z� a e'na 3v c°)J- 'O C ei x lac. '.su The", e e Tt-i� t- is De/ee'o, Y-f e t.ate It J i' iwt tq} �)vij o Re cl- o3a - "-,�jr co iTini e i- 'e tie � G e,,`)r 010u -o e arrp e the toiiv /fig �:n-e i 1 i orezents tree etc le oi- the -i, Digitc, Reader Board Sign Iles gr that ,ould protect our i! ut C -% et ✓-'r `x -XT e,-i V eu �, Cl- 1 i�, Ur OTie e-1 11 a cone' }erg o C ne e respons bii to vvi r'lemoers anc trie commur ty b tVe c e continucll, evaluating all mpects of oi�r -riut+.dal business goals frorr' techno ogy, i,,novatio i, marketing cinca c d lei ti�wcj �erspectryes � s i� This is one �,ucn -fsoi� w N 8trd o!Cars Stwo at BaSa Tetra em guar aw P x I 1 � 1 t STORE w° e arm auu�ra�shwa roo rV OF CARS � i o 0 o a o a e o a A o a t f a s4r a o a o a A o o c A o 0 y a y.�-��M. •: �T a a a �, o A o o 9� Mt>�,' a o mm �� m�,F .��' `. � ���,£�s k� �-1041 � W*- 13 £ A O O 2 0 43 4 01 8 O O B A O fl .a O O O -9 �_'�y ��^- � § -4� �'��� • "fir , 5 ` �`� �.,;� .�� 1 . a 77 s 3 Resolution NO 2010-59 U '% E & ' T Rrn IN DEALER MEMBERS I -1U) - -1 ' `/ - �' jai g a Man ,ge, i Auto "'Jealers Kisi ,1 s,c I , �} 1 HB Dodge HB Mazda HB Ford 714-847-5515 714-848 7739 714 842 661 1 www hbdodge com www ocmazda com www huntingtonbeachford com HB Chrysler Jeep Surf City Nissan of HB McKenna VW HB 714-841-3999 714-500 6000 866 925 0602 www hbchryslerleep com www surf citynissan com www mckennavolkswagen com HB Mitsubishi DeLillo Chevrolet Toyota of HB 888 780 9895 714-847 6087 714 847 8555 www hbmitsu com www delillo com www toyotaofhb com Kia of HB Norm peeves Honda Superstore TBD 714 842 5431 www norm reeveshuntingtonbeach com Bob Miller, (Toyota of Huntington Beach) acts as President Paul Conant, (Norm Reeves Honda Super Store) acts as Vice President Bill Demarest, (DeLillo Chevrolet) act as CFO L� 0 ��olall_aho rn— BID FINANCIALS 2010 - 2011 BID BUDGET HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT BUDGET O T B P jn- 'I O TO EPT' BE," �O, 2011 pre ou-- ele 5e� 7 C B�,i i1�es. 1 �C { '-�at� t�fi ; ;, ��lc?'"l— 1 r G '�1 D 0 u : I-,al Pe venue 193 8CO i_},3t(0 X eJY Alt ✓� sC)J-10i 1 ��_j tl Via, StD,e 69,900 O-C Tjtai Expenses 1 913,80� UY � lnl ithly Asses4mera pef B3ale fi 4 �0 u)0 r Y.. T s a. x T Y _ i' J.. q c w j r )t E, Zs iL so Lc ', GhrYster•�si�e•Fsrd•Hsnya. _a _� � _ �._ '•` . .�: s-`` -� ��- ��burn s�utn,�nt�-i�esch�Ivil��... - is l� W. "1 Y F>Rtq.T.;iirfdtT PR.U•TOSJ9 ^..q-✓ J TXECQM6NhT2Y1N► J,�} 'tWCtkAfUNi ... 'f JI+f �"NUflS1N4".UEIEAL+t "' •��� �3 p...� g �HLNTU1GSf9ES GF 7S4i4755S5� '' 714 4 n ,�... ,� <'�" + ' s-ssvae-�„-.•:. .�.me-.m�r=.asar .,.s.,a-<sv.�v.r.s.-. ��� & �d d 5 - :: �f r. ��t j */• -al nin _ � � 7i4fA2 GGGG ?S�St2 ." ��� � ,mot.ChrYster• �N��e•Font•°N�gwa.J {��}q b�^ .� � �urri,44 tFit`�ht7"C�CEl j '��'^_. 3' Y `R' t i r � 3.Y i t '�.�.F w$ ,�+ rn � v '"�'J 7`N.k j z' �z4.,v�,,, �J�;v '�t'15�`a� "'� �sir '�,� MaxYan.Nlltsti`iShi�•WSSAn tNy���� �-� v, Resolution# 2010-59 Exhibit B Resolution No 2010-59 Exhibit B HUNTINGTON BEACH AUTO DEALERS BID LIST OF MEMBER H B CHRYSLER JEEP H B FORD RICK EVANS/ROSS HELMAN OSCAR BAKHTIARI/OMAR 16701 BEACH BLVD 18255 BEACH BLVD PHONE 841 3999 FAX 842-2903 841 9993 PHONE 842-6611 FAX 847 8788 H B MAZDA SURF CITY NISSAN JOHN PATTERSON/ERIC CASILLAS GSM LARRY SMITH/FRED ANGIULI 16800 BEACH BLVD 17331 BEACH BLVD PHONE 848-7739 FAX 847 1265 842 6666 F 375 0076/847-0759 TOYOTA OF HS H B MITSUBISHI BOB MILLER/DENNIS PRADO ABBAS AHMADI/CHUCK BIEN 18881 BEACH BLVD 16751 BEACH BLVD PHONE 847 8555 FAX 847-1105 PHONE 375 9493 FAX 842 1563 DELILLO CHEVROLET MC KENNA MOTORS DAVE DELILLO/BILL DEMAREST MARIN DELGADO/DANNY MC KENNA 18211 BEACH BLVD 18711 BEACH BLVD PHONE 847 6087 FAX 847-6721 PHONE 842 2000 FAX 714 843 8369 NORM REEVES HONDA HUNTINGTON BEACH DODGE PAUL CONANT/JASON CURNYN CLAY DAMES/LARRY SMITH 19131 BEACH BLVD 16555 BEACH BLVD PHONE 842 5431 FAX 375-9783 PHONE 847 5515 FAX 596 0230 KIA BILL NELSON A/DLR DIRECTOR 18835 Beach Blvd 714-536 8614 surfhb@socal rr com Res No 2010-59 STATE OF CALIFORNIA COUNTY OF ORANGE ) ss CITY OF HUNTINGTON BEACH ) I JOAN L FLYNN the duly elected qualified City Clerk of the City of Huntington Beach and ex-officio Clerk of the City Council of said City do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven that the foregoing resolution was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council at a regular meeting thereof held on August 16, 2010 by the following vote AYES Carchio Coerper Hardy Green Bohr Hansen NOES None ABSENT Dwyer ABSTAIN None Cit , lerk and ex-officio t rk of the City Council of the City of Huntington Beach California Easy Peei®Labels i ♦ ® Bend along line to AVERYO 5960Tm i Use Avery®Template 51600 j Feed Paper expose Pop-Up EdgeTM , 1 H B CHRYSLER JEEP H B FORD H B MAZDA RICK EVANS/ROSS HELMAN OSCAR BAKHTIARI/OMAR JOHN PATTERSON 16701 BEACH BLVD 18255 BEACH BLVD ERIC CASILLAS GSM HUNTINGTON BEACH CA 92647 HUNTINGTON BEACH CA 92647 16800 BEACH BLVD HUNTINGTON BEACH CA 92647 TOYOTA OF HB H B MITSUBISHI SURF CITY NISSAN BOB MILLER/DENNIS PRADO ABBAS AHMADI/CHUCK BIEN LARRY SMITH/FRED ANGIULI 18881 BEACH BLVD 16751 BEACH BLVD 17331 BEACH BLVD HUNTINGTON BEACH CA 92647 HUNTINGTON BEACH CA 92647 HUNTINGTON BEACH CA 92647 DELILLO CHEVROLET MC KENNA MOTORS MARIN NORM REEVES HONDA DAVE DELILLO/BILL DEMAREST DELGADO/DANNY MC KENNA DAN KLAWITTER/JOHN DALPE 18211 BEACH BLVD 18711 BEACH BLVD 19131 BEACH BLVD HUNTINGTON BEACH CA 92647 HUNTINGTON BEACH CA 92647 HUNTINGTON BEACH CA 92647 Huntington Beach Dodge Kia Kia Clay James/Larry Smith Ken Phillips Ken Phillips 16555 Beach Blvd 7230 South Tacoma Way 18835 Beach Blvd Huntington Beach CA 92647 Tacoma, WA 98409 Huntington Beach, CA 92647 f A0 CADA) Etlquettes faclies a peler ; Rephez a la hachure afln de; www avery corn i 1*i—10., h—+ AVCRv®Cicn® 1 Sens de o .1. 10 e1.-M 0-11nTM 1 1 Qnn r-n Avicev PROOF OF SERVICE OF PAPERS STATE OF CALIFORNIA ) ) ss COUNTY OF ORANGE ) I am employed in the County of Orange State of California I am over the age of 18 and not a party to the within action my business address is 2000 Main Street Huntington Beach CA 92648 Pursuant to Code of Civil Procedure § 1094 6 on August 19, 2010 1 served the foregoing documents(s) described as Resolution No 2010-59 A Resolution of the City Council of Huntington Beach Declaring the City s Intention to Levy an Annual Assessment Within the Huntington Beach Auto Dealers Association Business Improvement District for Fiscal Year 2010-2011 on the interested parties in this action by placing a true copy thereof in a sealed envelope addressed as follows 10 Auto Dealers—See label list a [X] BY MAIL -- I caused such envelope to be deposited in the mail at Huntington Beach California I am readily familiar with the firm s practice of collection and processing correspondence for mailing It is deposited with U S Postal Service on that same day in the ordinary course of business with postage thereon fully prepaid I am aware that on motion of a party served service is presumed invalid if postal cancellation date or postage meter date is more than 1 day after date of deposit for mailing in the affidavit b [ ] BY MAIL -- By depositing a true copy thereof in a sealed envelope with postage thereon fully prepaid in the United States mail at Huntington Beach California addressed to the address shown above c [ ] BY DELIVERY BY HAND to the office of the addressee d [ ] BY PERSONAL DELIVERY to the person(s) named above e [ ] BY FAX TRANSMISSION to No I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct Executed on August 20, 2010 at Huntington Beach California j2w Se or De yly City Irk g/followup/appeal/I'proof of service letteril doc